Transportation & Logistics · Buyer guide
Buying a Moving Company business
Published · Reviewed by The Diligence Standard Team · Updated
a Moving Company can look attractive on a summary P&L while the operating details underneath it change the cash flow, transferability and capital a buyer will actually own. Diligence should connect the reported earnings to the business-specific drivers that create them.
How the business works
Lead generation, crew productivity, truck utilization, seasonality, claims and licensing drive earnings.
Risks to test
- Seasonality
- Damage claims
- Driver/crew turnover
- Paid-lead dependence
- Fleet CapEx
- Licensing/compliance
Evidence to request and reconcile
- Job history
- Lead funnel
- Fleet maintenance
- Claims
- Crew payroll
- Licenses/insurance
Decision questions
- How much demand is purchased?
- What is claim severity/frequency?
- What trucks need replacement?
- How seasonal is earnings?
- Can dispatch/sales run without owner?